The Month on Month Revenue Growth measures how much Revenue grew from one month to another in percent.
Why use it
MoM Revenue Growth provides a great insight on the growth rate of a business.
If a bunsiness is not yet generating Revenue the MoM Monthly Active User Growth can be a good alternative measure for a company’s growth. MoM User Growth should also be used when the size of the user base is particularly important for the business model to work.
|Abbreviation||MoM Revenue Growth|
The difference between this month’s revenue and last month’s revenue divided by last month’s revenue gives the revenue growth.
|(revenue 2nd month – revenue 1st month)|
|÷ revenue 1st month|
|MoM Revenue Growth|
In January a business had a revenue of 12.000 € by Feburary its revenue had grown to 13.500 €.
|+ 12.000 €|